Quote:
Originally Posted by Woody
How about over a 10 year period which was what I was looking at. UTX up 143%, KO up 49%, JNJ up 12%.
That brings up a question. Depending on the time period you look at, one stock may look better over 5 years, but another may look better over 10 years. How do you decide what time period to use?
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Great question --- and I look at BOTH for my decision making...
And you're right on - because the more you try to compare - one stock vs the other... it begins to look more like a horse race.... ya know -- the announcer shouting out "blackie jack is ahead by a nose - now comes lucky lady... and making a charge from the back is two socks..."
IMPOSSIBLE....
This is where a small amount of brain power needs to be exercised and you just have to gather all the info - look at the time frames - and then fit them to your portfolio. I don't like to use 3 year -- because of the great "recession" killed EVERYONE... so the five year gives me the stocks ability to REBOUND... and then you go out 10 year for "track record" -- I want to see that they were climbing prior to the big dipper! The ability to rebound is it's "resilience" and I like a stock like that. It means that it was a classic case of "toss the baby out with the bath water" rather than poor management or poor product line etc.